Li Qiang says China would consider making Malaysia ECRL core part of Pan-Asian Railway

“China is willing to work with Malaysia to actively study the East Coast Railway, connect the central section of the China-Laos Railway, and move the Central Line of the Pan-Asian Railway from concept to reality. “

But the project was temporarily suspended when a new Malaysian administration sought to revise the cost downward as the country grappled with revelations of a rising national debt, blamed in part on the multibillion-dollar scandal at within the state fund 1Malaysia Development Berhad (1MDB).

Wednesday’s launch event marked the start of the final construction stage of the 655km-long ECRL, where the rail line enters the west coast via Gombak district in Selangor, the richest state and the most industrialized in Malaysia.

Anwar said the ECRL, in its current form, was proof that China was a “great collaborator” for regional development, as the ambitious rail project gains momentum after a series of delays.

“I think at the rate we’re going, this comprehensive strategic partnership with China… is a demonstration of how China can be great collaborators in the economic realm and in all areas of human development,” he said. Anwar said in his speech.

Earlier on Wednesday, Malaysia and China renewed a five-year economic and trade pact and expanded cooperation in sectors such as green technology and cross-border crime, marking Li’s first official visit to the South Asian country. Southeast on the occasion of the 50th anniversary of the establishment of diplomatic relations. between the two countries.

Anwar described Li’s visit as an “important milestone” in Malaysia-China relations, and also expressed his “deep thanks and appreciation” to Chinese President Xi Jinping for his support in realizing the ECRL project.

The Gombak District Integrated Terminal will serve as the terminus for passenger traffic on the ECRL and is expected to be completed by the end of 2026.

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Malaysian transport minister eyes partnerships with China to meet infrastructure targets

Malaysian transport minister eyes partnerships with China to meet infrastructure targets

The ECRL route will extend to Port Klang for cargo delivery, with the final stage of the project expected to be completed by December 2027, according to a joint statement from project owner Malaysia Rail Link and main contractor China Communications Construction Co (CCCC).

The project, initially valued at 55 billion ringgit ($11.6 billion), was part of a series of BRI agreements that Malaysia entered into in a bid to boost its economic growth.

Malaysia, however, suspended the project after voters abandoned the administration of former Prime Minister Najib Razak, accused of using billions of dollars in Chinese investments to plug financial holes caused by the ruinous financial scandal of 1MDB.

The suspension was part of a broader recalibration of Chinese investment in Malaysia at the time. The government then canceled three pipeline projects being built by China Petroleum Pipeline Engineering at a total cost of $1.8 billion.

The ECRL resumed in 2019, with the government and the China Communications Construction Company (CCCC) agreeing to a realignment of the route and lower costs.

Last month, Malaysian Transport Minister Anthony Loke Siew Fook launched a project to connect the ECRL to southern Thailand by redeveloping a long-defunct railway border post in the northern state of Kelantan. Malaysia, at a key connection point for the Pan-Asian Railway.